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<br />2006 ANNUAL HYDROLOGY REPORT <br />1.0 INTRODUCTION <br />The following Annual Hydrology Report (AHR) presents hydrologic monitoring data from the BTU Empire <br />Corporation (BTU EC) underground mine sites near Craig, Colorado for the 2006 calendar year. Site <br />locations are described below. This AHR is provided in fulfillment of reporting requirements under the <br />Colorado State Division of Reclamation, mining and Safety (DAMS), Permit No. C-81-044. All references <br />to "2006" in this report refer to the 2006 calendar yeaz (January 1, 2006 through December 31, 2006). <br />Monitoring results for prior calendar years (1983 through 2004) are presented in previous AHRs, although <br />selected historical data (period of record - POR) are summarized in same of the tables and figures within [his <br />AHR. <br />Following a discussion of Site Location and Background, this AHR provides a section on the 2006 <br />Hydrologic Monitoring Program, which is further divided into the following subsections: <br />. 1) Groundwater Monitoring <br />2) Surface Water Monitoring <br />This is followed by the Summary and Conclusions Section. Tables, Figures, and back-up documentation are <br />located in the tabbed sections at the back of this AHR. <br />2.0 SITE LOCATION AND BACKGROUND <br />BTU EC's Eagle No. 5 and Eagle No. 6 Mines are underground coal mines located approximately seven <br />miles south of Craig, Colorado, on State Highway 13. The mine sites, and adjacent area lie along the <br />northern foot of the Williams Fork Mountains, which trend east to west. The elevation of the permit area <br />ranges from a low of approximately 6,130 feet in the Big Bottom area, to a high of about 7,400 feet in the <br />Williams Fork Mountains. The entire operation is located in Moffat County, Colorado. The general location <br />of the site is shown on Figure 1. <br />There are two (2) major northwestern Colorado Rivers, which intersect the permit area. These are: 1) the <br />Yampa River and 2) the Williams Fork River. The Yampa River runs from north to south through the pemut <br />area, while the Williams Fork River mns from south to north and intersects the Yampa River just north of the <br />mine facilities area. The northern portion of the pemilt area is dominated by the Big Bottom alluvium, while <br />• the southern and eastern portions of the permit area are dominated by the Williams Fork Mountains and the <br />C-SI-044 200fi AHR <br />